Definition
What it means
A progress payment is a staged invoice issued during a longer project. Instead of waiting until the entire job is complete to invoice the customer, you bill at agreed milestones (foundations complete, frame up, roof on, fit-out done) or on a percentage-complete basis. Progress payments keep cash flowing so you can pay suppliers and wages without funding the project yourself.
How to structure progress payments
Common structures: 4-stage kitchens (20% deposit / 40% on cabinet delivery / 30% on install / 10% on completion). 5-stage pools (signing / shell delivery / backfill / commissioning / final). Builders often run on monthly progress claims with a quantity surveyor signing off each claim. Each progress invoice should reference the milestone reached and the cumulative paid figure.
What every progress invoice should include
Project name and reference. Stage of billing (1 of 4, etc.). Cumulative paid figure to date. Current invoice amount. Banking details with invoice number reference. Anything reconciled against retention if applicable.
How QuoteGenio handles progress payments
Quote a multi-stage project once, then issue progress invoices that track against the original quote. Each invoice shows the running paid balance automatically so the customer always knows where they stand.
Related terms
Other glossary entries you might want next
Closely related terms in the trades-finance vocabulary, with the same plain-English treatment.
Deposit
An upfront payment the customer makes on acceptance, typically 20-50 percent. Covers your material outlay and commits the customer to the booking.
Retention
A percentage of each progress payment the customer holds back until the job is complete and defects-liability has expired. Standard on commercial work.
Invoice
A formal request for payment after work is done. Lists what was delivered, the price agreed, banking details, and the due date.
Put it to work
Templates that use this concept
Free quote and invoice templates where this term naturally appears.
Testimonials
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HVAC Contractor · Austin, TX
“Roofs are not cheap. Having itemised quotes with labour and materials split helps clients trust my pricing. My acceptance rate has gone up noticeably.”
Marco Davids
Roofer · Cape Town
Read more
Articles that go deeper on this topic
Long-form posts from the QuoteGenio blog that put this concept in real-world context.
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